MISC (MISC) Q2 2026 earnings summary

Executive summary

• Achieved exceptional Q2 2026 results with revenue up 90% year-on-year and profit after tax more than doubling, driven by strong Petroleum earnings and robust project execution in offshore and heavy engineering.

• Strategic execution enhanced contracted earnings visibility and long-term growth, with new LNG carriers delivered, long-term charters secured, and expansion into new energy including a liquefied CO2 carrier charter.

• Diversified portfolio and decarbonisation efforts enabled resilience and capture of market upside across cycles.

• Net profit for Q2 2026 was RM1,169.4 million, up from RM469.4 million in Q2 2025; earnings per share for Q2 2026 was 25.9 sen.

• Declared a second interim dividend of 8 sen per share.

Financial highlights

• Q2 2026 revenue: $1.2 billion (USD 1,200 million), up 90% year-on-year and 65% quarter-on-quarter, mainly from petroleum segment.

• Profit after tax: $293 million, more than double Q2 2025 and up 55% from Q1 2026.

• Cash flow from operations: $599 million, up 60% year-on-year and 93% quarter-on-quarter.

• Total assets: $13.4 billion as of June 2026; cash balances: $1.8 billion; total debt: $3.2 billion.

• Cumulative 6-month revenue increased 38.8% year-over-year to RM7,684.8 million; net cash from operations for 6 months was RM3,621.8 million, up 52.5%.

Outlook and guidance

• Expect moderation in petroleum segment earnings in H2 2026 as tanker rates normalize; remain measured due to changing supply-demand dynamics and geopolitical risks.

• LNG market fundamentals remain strong, with global import volumes stable in 2026 and growth expected from 2027; LNGC fleet projected to grow at 7% CAGR through 2031.

• Offshore CAPEX expected to reach USD 200 billion by 2030, with robust FPSO demand in South America, Africa, and Asia-Pacific.

• Marine & Heavy Engineering segment anticipates resilient demand for marine repair and ongoing opportunities in energy infrastructure.

• Focus on selective new energy opportunities, fleet rejuvenation, and operational efficiency.